WCI Communities raises $175 million

WCI Communities, which obtained bankruptcy court protection during the real estate downturn, is continuing its comeback by raising $175 million of new capital, including a $125 million term note due in 2017 and $50 million of additional equity.

Proceeds of the investment will be used to pay off WCI’s existing term loan and provide the company with additional capital for growth to expand its homebuilding and development operations in Florida, a press release on Monday said.

“These investments support the next phase of WCI’s progression as we continue to execute the elements of our growth plan, including strategic land acquisitions in key Florida markets to expand our portfolio of lifestyle communities,” said David Fry, WCI’s president and CEO.

WCI is currently marketing and building homes in 23 neighborhoods within nine active master-planned communities, offering a range of single-family, townhome and condominium residences.

“The Florida real estate market has shown signs of improved health, and we have exceeded sales projections in several of our communities through the first part of this year,” Fry said in the press release on Monday. “The company is on target to increase its closings and homebuilding revenue by more than 200 percent in 2012 – a testament to the extraordinary efforts of our associates.”

WCI Communities creates master-planned lifestyle communities, catering to move-up, active adult and second-home buyers. Homes are priced from the mid-$100,000s to just under $1 million.

WCI also includes Prudential Florida Realty, the second largest residential realty company in Florida.